The news for Smiths is the unveiling of £84m deals

SMITHS News, the magazine and newspaper wholesaler, yesterday unveiled a pair of fresh contracts, together worth 84 million a year.

The five-years deals were signed with magazine distributors Frontline Group and Seymour and will begin in April 2010.

Frontline and Seymour have a combined 40 per cent market share of magazine distribution in the UK.

Smiths News' market share of Frontline and Seymour titles will increase from 39 per cent to 55 per cent under the new deal.

Frontline is owned by BBC Magazines Worldwide, Haymarket Media, H Bauer Publishing and Bauer Consumer Magazines, while half of Seymour is owned by Dennis Publishing and the other half by Frontline.

Smiths News, which has a market cap of about 85m, said: "The contracts have a combined wholesale sales value of about 288m per annum and will increase Smiths News' revenues by circa 84m per annum from April 2010.

"The additional territories won will overlap with all but one of the News International territories that were secured last year. The new contracts expand Smiths News' network by a further seven territories, providing an additional platform for growth."